Uber's Corruption Just Cost Them $44.5 BILLION

Jon York

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Nov 30, 2018
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Uber's IPO - Thoughts from a Driver: For those of you who have been waiting for the day that Uber would pay a price for their corruption, the ways they've taken advantage of people, exploited people, flaunted laws, abused women, etc., etc., etc., well you had your day today.

Today was the day of their IPO, their stock market debut. A couple of years ago estimates of Uber's value went as high as $40 billion. A little later that skyrocketed to $70 billion! Then in the months leading up to the IPO - Uber management and some analysts believed their value could go as high as $120 billion! $120 billion... wow! There was talk that the stock would open priced at around $70 per share. Those were heady times! Those values were far above what they had been just a year before and everyone at Uber was super excited about it. They were counting their money and planning how they would spend it.
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In the weeks leading up to the IPO though, reality began to set in as market watchers noticed Lyft wasn't exactly taking off... in fact, it was tanking since its IPO. This brought a certain realism back to the minds of the financial analysts who covered Uber. They started issuing warnings and cautions. Top on their minds is the fact that Uber has huge losses every year. And on top of that, they were starting to see there's no real way out of it. No one could find a path to profitability (as they call it). Ride-hailing is hugely unprofitable, but there is always Uber Eats. Uber, for the last year or so has been talking up Uber Eats big time. Telling everyone it was so profitable and growing so fast. They had to because that's all they had. What they weren't telling us though is that there was already a lot of competition in the food delivery market. GrubHub, Door Dash, Instacart, etc., all involved in some sort of food delivery or another. And Uber wasn't the king of that pie.

So, Uber's stock debuted today at an abysmal $42 per share. Almost half the amount the big wigs at Uber were hoping for. This translates into a $44.5 BILLION "loss" for Uber. If things had gone well... if they had run the company like a real business... if they had treated their drivers with some respect and dignity... if, if, if... they could have pocketed a lot more money.

I have to say, it is nice to finally see them pay a real price for all their shady dealings and wrong doings of the past. And this is a price that they'll really feel. It's $44.5 BILLION! It's not like a $2 million fine byfrom some government agency.

The past finally caught up with Uber today. All those of you who have been wanting to see them get some punishment for all their past behaviors (i.e., justice) - it happened today! This morning they went public, opening on the stock market at well-below

So, Uber's stock debuted today at an abysmal $42 per share. Almost half the amount the big wigs at Uber were hoping for. This translates into a $44.5 BILLION "loss" for Uber. If things had gone well... if they had run the company like a real business... if they had treated their drivers with some respect and dignity... if, if, if... -- they could have pocketed a lot more money.
 
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McCrank

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Jan 5, 2019
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It's actually good to see that the world hasn't gone totally insane. I half expected Uber's stock to skyrocket. But if it had, it would mean we live in a totally mad world. I still can't understand how this is considered a billion dollar company - when in fact that's how much they lose every quarter. It's beyond me why anybody bought the stock today. But it's half heartening, I guess, to see it wasn't enough people to push the price up.
 
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News Hound

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Jan 7, 2019
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202And don't kid yourselves. This really, really hurts where it counts. This is crushing to all the employees who were awarded thousands of shares of stock options. Guess what? Their options were priced at around $49 a share - so you know what that means? It means all those people who thought they were going to be overnight BILLIONAIRES are now overnight losers... big time losers. They're underwater - their stock options are worthless right now.

Which kinda makes you feel good when you think about it. Because it was these same people who are responsible for exploiting hard-working drivers and treating them like slaves. And not only are these employees underwater, so are some of the biggest billionaire investors, like the Saudis. They put $9 billion into Uber at $48.77 a share. (That's 184,340 shares, by the way). So right now, they have a $1.323 BILLION loss.

Honestly, I hope that teaches these investors to stop investing in idiotic companies that are so incompetent they can't figure out how to make a dime off of commissions from people who are paying all the expenses and doing all the real work. It seems like they all jump on board whatever the next big name is - without regard to whether they're an actual functioning business or not.